Churn Rate

Churn Rate gives you insight into customer retention, revealing how many customers you’re losing over a certain period. It’s a direct reflection of your brand’s stickiness and customer satisfaction. 

How to Measure Churn Rate 

Churn Rate = (Number of Customers at Start of Period – Number of Customers at End of Period) / Number of Customers at Start of Period

The result is usually expressed in percentage form. 

Keep in mind, a lower churn rate is always better. It means your customer retention strategies are working and you’re successfully keeping your audience engaged.

Now that you have your churn rate, what next? Here are some aspects to consider: 

  • Customer Segments: Look at how churn rate varies across different customer segments. This can help you identify specific groups that are not satisfied with your product or service.
  • Time Period: Analyze how churn rate changes over different time periods. Is there a particular time when customers tend to leave?
  • Reason for Churning: If possible, identify the reasons why customers are leaving. This information can guide you in making necessary improvements.

Churn Rate Calculator

The values you enter into this calculator are not saved or stored in any way.

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